ISGEC · price
▲ positive · ▼ negative · ● neutral filings · teal = economic event · numbered = multiple that day (click to pick). Times IST.
ISGEC Heavy Engineering's Board approved a capital expenditure of Rs. 25 crore for capacity addition at its Steel Castings division in Muzaffarnagar, Uttar Pradesh. The company also recommended a dividend of Rs. 6 per share for FY26, subject to shareholder approval. For FY26, standalone revenue grew 4.2% to Rs. 522.9 crore and profit after tax rose 18% to Rs. 34.7 crore. Consolidated revenue increased 5.7% to Rs. 678.9 crore. However, auditors flagged going concern risks at subsidiary Isgec Investment PTE. LTD (Singapore) due to accumulated losses and negative net assets, and a capital deficiency of Rs. 44.3 crore at step-down subsidiary Bioeq Energy Holdings Corp. The company also provided a corporate guarantee of up to Rs. 65.5 crore for its JV subsidiary Isgec Titan Metal Fabricators.
The Rs. 25 crore capex signals modest expansion in manufacturing capacity and is positive for long-term growth, though it's small relative to the company's net worth of Rs. 273 crore. The going concern warnings at overseas subsidiaries and Rs. 6.4 crore expected credit loss on loans to Isgec Investment PTE. LTD are concerning risks that investors should monitor.